ETH has trailed Bitcoin's progress up the charts to the best of its abilities so far, with a 15% price increase over the last week.
However, just as ETH is about to break through to the $4,000 zone, the Ethereum Foundation (and maybe even Vitalik Buterin) made a surprising move that could have some consequences for the cryptocurrency.
According to a recent tweet from LookOnChain, a mysterious wallet with links to the Ethereum Foundation just transferred a tranche of about 500 ETH (worth about $1.8 million and not $13.3 million at the time of the transaction), to Cumberland Forwarder, a cryptoasset solutions provider.
There are no strong indications to prove anything, but there has been a lot of speculation that this wallet belongs to none other than Vitalik Buterin.
Keep in mind that the ETH Foundation has been holding a large amount of ETH in this wallet since 2015 when it received 47,814 ETH from a generous donor. Since then, the value of the foundation's ETH stash has skyrocketed to over $166 million at the time of writing.
The crypto community has been thrown into massive speculation about why the Ethereum Foundation would be transferring this amount of ETH to Cumberland Forwarder.
Some have speculated that The Foundation is cashing out profits from the latest ETH rally, while others suggest that the Ethereum Foundation is making a strategic move to support the Ethereum ecosystem.
Keep in mind that Cumberland Forwarder is part of a larger company that provides access to services in the crypto space, such as liquidity, trading, and custody.
It might also be possible that the Ethereum Foundation is collaborating with Cumberland Forwarder to push the adoption of ETH and its related technologies forward.
It gets interesting when we realize that this isn't the first time that Buterin and the Ethereum Foundation would be selling their ETH.
For example, data from Arkham Intelligence shows that in October 2023, Kanro, a Buterin-affiliated charity moved 15.43 million USDC coins from a multi-sig wallet in two transfers, one to Coinbase (500,000 USDC coins) and one to Gemini (14.93 million).
This is only one out of several ETH transfers made by the ETH foundation and founder, despite Buterin stating in a Warpcast post that he hadn't "sold his ETH holdings for profit in the past five years"
So far, ETH hasn't reacted in price to the latest developments.
The cryptocurrency has rallied by around 7.2% over the last day and currently trades at $3,750 at the time of writing.
Ethereum appears to be breaking above the $3,700 resistance for the first time since breaking below in January 2022.
This is wildly bullish news because ETH is poised to explode further upwards and hit the $4,000 zone.
If we happen to see a breakout from this price level, the cryptocurrency might even be set to make a new pre-halving all-time high before Bitcoin ever does.
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